The VSME (Voluntary Sustainability Reporting Standard for non-listed SMEs), adopted as Delegated Regulation (EU) 2026/1560 on 3 July 2026 and in force since 24 September 2026, is one of the most consequential outcomes of Omnibus I for UK companies in EU supply chains.
What Is VSME?
VSME sets approximately 140 data points as the maximum sustainability information that CSRD-reporting companies can request from their value chain partners with fewer than 1,000 employees. These “protected undertakings” cannot be required to provide more than VSME-level data.
Why It Matters for UK SMEs
Before Omnibus I, value chain data requests were effectively unlimited. Large EU companies could (and did) send extensive sustainability questionnaires to their UK suppliers, demanding hundreds of data points across environmental, social, and governance topics. Many UK SMEs lacked the resources to respond adequately.
VSME changes this dynamic. The ~140 data points cover:
- General disclosures: Business model, governance, material sustainability matters
- Environmental: GHG emissions (Scope 1, 2, and material Scope 3), energy, water, waste, biodiversity impacts
- Social: Workforce characteristics, health & safety, training, human rights due diligence
- Governance: Anti-corruption, political engagement, payment practices
Practical Implications
For UK SMEs (Suppliers to EU Companies)
- You now have a defined ceiling for what you can be asked to report
- VSME provides a structured framework to organise your sustainability data
- Proactively aligning to VSME demonstrates supply chain readiness
- You can push back on requests exceeding VSME scope (citing Omnibus I protections)
For UK Companies with EU Reporting Obligations
- Your value chain data collection must be redesigned around the VSME cap
- Questionnaires sent to sub-1,000 employee suppliers must be limited to VSME data points
- Greater reliance on estimates and sector averages for supply chain data gaps
RSustain Advisory
RSustain helps both UK SME suppliers prepare VSME-aligned sustainability data and UK parent companies redesign their value chain data collection for the new VSME cap. Book a free scoping call.
RSustain UK provides advisory services only.